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Beyond Loss Functions: A Practical Approach to Evaluating Financial ML Models

Alexander Masztakowski's avatar
Alexander Masztakowski
Dec 03, 2025
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When I started building machine learning models for financial time series prediction, I quickly realized that traditional metrics like MSE (Mean Squared Error) or MAE (Mean Absolute Error) don’t tell the full story. What I really n

eeded to know was: “How useful are these predictions for actual trading?”

This led me to develop a custom evaluation methodol…

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